Bad News at Verizon and Sears
/Verizon and Sears employees are facing job loss in the coming months.
Verizon is outsourcing some technology functions to Infosys, resulting in 2,500 jobs leaving the company.
At first, Verizon wasn’t planning to offer severance, but pressure from employees caused company leaders to change the approach. Timing was part of the problem: last month, 44,000 Verizon managers were offered a voluntary severance package to leave the company. Now, about 1,000 employees have a choice of whether to work for Infosys or accept severance pay.
Sears is declaring Chapter 11 bankruptcy after years of attempts to save the department store. The company has been steadily shedding stores. Only 700 are left, down from 1,000 in February, and more than 3,000 about a decade ago.
CNN reports that Sears has been warning investors that they may go out of business, and suppliers are requiring payment up front.
Discussion:
What’s your view of Verizon’s severance plans: unfair, discriminatory, financially necessary, based on sound principles, or something else?
Sears investors and suppliers recognize the likely fate of Sears. How prepared do you think employees are? What could the company do to help employees at this point?
